You probably know two things about IRAs:

• You know that the R in IRA stands for retirement.
  
• You know that it is a way to save money without your interest being taxed on an annual basis.
  

But did you know these two things?

• New more flexible laws allow you to use your IRA savings for a first-time home purchase, medical or college expenses, depending on the type of IRA?
  
• There is a special IRA, just for education-related expenses (Coverdell Education Savings Account)?

There are three types of IRAs:

• Traditional
• Roth
• Coverdell Education (Education Savings Account)